"Venture funds weren't victims of the [yr 2000] bubble. In many ways they were the cause of it." #readingToday
As a consequence, the partners simply could not be bothered with making little $ 2 million to $ 5 million early-stage investments of the very sort that had led to their initial success. Their values had changed. They had to demand that the ventures they invested in must become very big, very fast, just like their corporate counterparts. And just like their corporate counterparts, these funds then went through steps 3, 4, and 5 that were described at the beginning of this chapter. These venture funds weren't victims of the bubble— the collapse in valuations that occurred between 2000 and 2002. In many ways they were the cause of it. They had moved up-market into the magnitudes of investment that normally are meted out in later deliberate strategy stages, but the early-stage companies in which they continued to invest were in a circumstance that needed a different type of capital and a different process of strategy.
The Innovator's Solution, Clayton Christensen